Article 1.- The forests planted with non-refundable aid from the Government of the Federal Republic of Germany (German Project in short) referred to in this Decision are non-essential production and protection forests which have been allocated to the households and individuals that have on their own invested additional fund and labor in tending and protection according to the objective of the project.

Article 2- Principles for determining the policy of benefits for the households and individuals taking part in afforestation according to the German Project:

1. When exploiting and using forests planted according to the German Project, the households and individuals must take measures to reforest according to the line of stability and sustainability and development of their protectional effect and environmental protection.

2. To ensure the right to benefits for the households and individuals taking part in the project in conformity with the signed financial protocol of the project.

Article 3.- Rights and interests of the households and individuals taking part in afforestation under the German Project:

1. For the forests planted on land planned for production forests, the forest owner shall enjoy the following interests:

a/ They are issued with certificates of the right to stable and long-term use of the land according to the land legislation by the People�s Committee of the district or township.

b/ They are entitled to take part in deciding the structure of the trees the afforestation technique, the time for exploitation and the mode of exploitation.

c/ They have the ownership right over the forests planted by them, are entitled to assign, inherit and mortgage them, to exploit and use the forest products according to the regulation on management of production forests and in conformity with the characteristics of the terrain and land in each region.

d/ They are entitled to enjoy the whole product of forests after fulfilling their obligation to pay the land use levy as prescribed by law and to remit to the commune budget a sum as stipulated in Clause 4, Article 4 of this Decision.

2. For the forests planted on the land of non-essential protection areas, the households and individuals taking part in the project shall enjoy the rights and interests stipulated in Clause 1 of this Article but are not allowed to plant uniform forests nor to fell all of them at a time. They are entitled to exemption from land use levy.

Article 4.- Obligations of the households and individuals taking part in afforestation under the German Project:

1. To plant, tend and protect the forests according to the technical process and time-table prescribed by the Project.

2. When they want to exploit the forests, the households and individuals must inform the commune People�s Committee in the locality where the forest is located in order to get the legal exploitation permit. They must exploit the forests according to the prescribed process and in conformity with the management regulation for each type of forest.

3. After exploitation they must replant the forests or take measures to promote the regeneration of the forests. Within two years after exploitation, if the forest owner does not carry out reforestation measures, the commune People�s Committee shall propose the People�s Committee of the district or township to issue a decision to recover the land and the money supplied by the project and allocate them to others for use in reforestation.

4. When conducting exploitation, the households and individuals taking part in the project shall contribute to the commune budget a sum equivalent in value to 50-100 kg of rice/ha if the planted trees are perennial trees felled only once or to 2-3% of the value of the products exploited each year if the trees are perennial trees harvested in many years (pine resine, trau (aleurites montara), so (tea oil), tram (canarium) and fruits). The concrete level of contribution shall be decided by the provincial People�s Committee. This revenue shall be used only for the management, protection and development of the forests in the commune.

Article 5.- This Decision takes effect 15 days after its signing. The other provisions which are contrary to this Decision are now annulled.

Article 6.- The Minister of Agriculture and Rural Development, the Minister of Planning and Investment, the Minister of Finance, the related ministries and branches and the presidents of the People�s Committees of the provinces covered by the project of afforestation with non-refundable aid of the Federal Republic of Germany shall have to implement this Decision.